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Global Debt Threatens the End of Democracy

By: Frank Worley-Lopez - Mar 10, 2014, 10:19 am

Bloomberg reports that global debt has reached US$100 trillion. While seemingly arbitrary, this is not a random number. In 2012, the gross world product (total economic activity worldwide) reached US$85 trillion. Given these figures, governments across the world have managed to amass a debt that is worth 120 percent of all value added globally.

global-debt-bloomberg
Global debt exceeds US$100 trillion. Source: Bloomberg TV.

The reason for this is simple: politicians don’t care about doing the right thing. They care about themselves and winning the next election. This is true the world over, in every country governed by democracy. Be it in socialist countries or those ruled by dictators, governments destroy wealth in their quest to maintain control over it and the power it wields. It is not the investors or bond holders, banks or brokers, but governments themselves that are destroying our way of life.

Democracy, and what little freedom it still affords, is at risk, and perhaps at greater risk than any other time in human history. The dangers come not from invasion, but from self-destruction and debt enslavement. At some point, the debtors will be called by their creditors to pay their bills. Amidst the global currency panic, politicians will enter into a worldwide currency reset and a likely replacement of the US dollar as the de facto world reserve currency.

While they may herald such a reset as a way out of debt for countries throughout the world, including the United States, such a new arrangement of currencies will come at a hefty price. The specific details of how this will happen are still in flux, but the West and its citizens will pay for the last four decades of complacency.

While the US debt may be tamed by this global reset, we will still be required to comply with repayment conditions and pay a sizable fee to the rest of the world that, in theory, will assume the debt as part of the reset. Most important, those who hold the debt will also be calling the shots. US Americans, Puerto Ricans, and other severe debtors face decades of financial enslavement.

Gloom and doom? Yes, but better to have an awful prediction that is later deemed inaccurate, than silence in the face of betrayal.

Democracies must either evolve or they will become obsolete. It is time we return to the concept of a traditional republic, rather than the tyranny of the majority, and begin making the choices necessary to save liberty at all costs. This is a war — one that must be fought to save liberty itself from planned extermination. If we accept this fact, then all options become rationally conceivable. Polite conversation and witty debate are what have brought us to this nightmare. US Americans and Puerto Ricans owe trillions of dollars to countries like China, whose rulers made clear their animosity towards liberty at Tiananmen Square.

Given such debts in their favor, countries like China will have a large say in how any global currency reset occurs. Do you have faith that they will keep your interests at heart?

We are rapidly running out of good options to turn back the tide of debt enslavement. We must change the way we look at social programs and how we finance them. We must turn back the tide of senseless regulations and thousands of pages of useless laws, starting with Obamacare.

With global debt reaching astronomical proportions, we are rapidly running out of time.